Japan

Japanese electric vehicle manufacturer Terra Motors has intensified its focus on the Indian market by launching the KYORO+, a new electric three-wheeler designed for passenger transport. Building on the success of its electric rickshaws, which have crossed 1.5 lakh units sold, the company targets a 5-8% share of the rapidly growing electric three-wheeler (L5) segment. Terra Motors plans to expand its dealer network to 100 outlets and boost production to 5,000 units per month.

Indian equity markets opened the week on a strong footing, buoyed by a confluence of favorable macroeconomic indicators and global developments. News confirming India's rise to the fourth-largest global economy triggered a surge in investor sentiment, complemented by the Reserve Bank of India's record dividend payout of Rs. 2.69 lakh crore, the early onset of the southwest monsoon, and a delay in US tariff action on the European Union. The benchmark indices—Sensex and Nifty—posted significant early gains, supported by foreign institutional buying and robust performances from key sectors.

India has officially surpassed Japan to become the world’s fourth-largest economy, according to recent data and statements from senior government officials. With a nominal GDP nearing USD 4.19 trillion, the country is now positioned just behind the United States, China, and Germany. This milestone underscores India’s remarkable economic ascent over the past decade, marked by structural reforms, increasing domestic consumption, and robust policy direction.

India has emerged as a formidable player in the global electronics trade, with smartphone exports reaching an all-time high of $24.14 billion (approximately Rs. 2 lakh crore) in FY 2024–25. This represents a 55% surge over the previous year and positions smartphones as the country's top export, surpassing long-standing leaders such as petroleum products and diamonds.

In a strategic move signaling a reshaping of its investment priorities, the State Bank of India (SBI) has announced the sale of a 13.19% stake in Yes Bank to Japan’s Sumitomo Mitsui Banking Corporation (SMBC) for a total consideration of Rs. 8,888.97 crore. The divestment involves over 413 crore shares, priced at Rs. 21.50 apiece, and is contingent on statutory approvals. This marks a significant shift for SBI, which currently holds a 24% equity stake in Yes Bank.

In a strategic move poised to reshape India’s digital and industrial landscape, Telangana has secured landmark investments from Japan's NTT DATA, Neysa Networks, and Toshiba Transmission and Distribution Systems India (TTDI). A total outlay of over Rs. 11,000 crore has been pledged to develop an AI-focused data center cluster and to expand energy equipment manufacturing capabilities.

Mitsubishi Heavy Industries (MHI) has announced a strategic investment of JPY 150 million (approximately Rs. 8.9 crore) to acquire a 2% stake in HIPUS, a joint venture led by Infosys Singapore. This move aligns with MHI’s broader objective to enhance data-driven procurement capabilities across its global value chain. HIPUS—established in 2019 by Infosys Singapore, Hitachi, Panasonic, and Pasona—aims to deliver end-to-end procurement solutions powered by next-generation digital platforms for Japanese enterprises.

India is positioning itself as a formidable force in the global economic arena, with projections indicating it will surpass Germany and Japan to become the world’s third-largest economy within three years. NITI Aayog CEO B.V.R. Subrahmanyam, speaking at a recent event, outlined a bold vision for India's economic future, asserting that by 2047, the nation could emerge as the second-largest economy globally, with a projected GDP of USD 30 trillion.